Michigan Municipal Employees’ Retirement System, Lansing, hired AMBS Investment Counsel to manage $25 million in active domestic large-cap value equities in the $6 billion fund’s ongoing emerging managers program.
Between $250 million and $300 million has been set aside for the program, said Jeb Burns, MERS’ chief investment officer. About $100 million has been allocated among six managers, including AMBS, Mr. Burns said, noting that the program is designed over time to “graduate” emerging managers into running regular mandates.
Mr. Burns said MERS’ investment staff is working on a full risk analysis of the portfolio, which precedes the plan’s regular five-year asset allocation review. The results of the review will be presented to MERS’ board in July. Mr. Burns said he expects changes will be made to the portfolio, likely including consolidation of asset classes.